Lebanon Businessnews News
 

Tabourian Group
acquires Sannine water
In talks to acquire Dairy Day
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The Tabourian Group has fully acquired Sannine, the natural mineral water company. The acquisition was financed by Creditbank.

Neither party agreed to disclose the amount of the transaction.

The entire company has been valuated at $42 million, in addition to substantial retained earnings.

Owning 51 percent of Sannine’s shares already, the Tabourian Group acquired the remaining 17.5 percent held by Malia Group, and the 31.5 percent held by Rizk Rizk, owner of Mzaar Ski Resort.

The Tabourian Group is in advanced negotiations to acquire Levant Beverage & Dairy from the Mikati family, which produces the Dairy Day product range.

“The company is consolidating its position in the beverage industry,” said Elias Fayad, General Manager of Sannine.

The Tabourian Group already has a wide-ranging portfolio that includes X-tra juice, Bonjus, Libby’s juices, RC cola soft drink, Libby’s canned food and ketchup, and X-tra ketchup.

“In this process we are creating a synergy, as the larger portfolio we have, the better,” said Fayad.

The production of Sannine is estimated at around 250,000 liters per day. Consumption of all mineral water in the local market, excluding the hospitality sector, is 600 million liters per year. The overall retail bill of mineral water is around $310 million. Sannine’s market share is estimated at 12 percent.

Fayad said that the company will adopt an expansion plan for Sannine, including the factory and warehouses in Bkaatouta, by 2017.

The expansion will increase the space of the factory from 3,000 to 8,000 square meters. Investment in the project is estimated to exceed $4 million.

The production capacity of the 19-liter gallons will reach 1,500 per hour. The capacity of the bottled water facility rose two years ago from 15,000 to 22,000 bottles per hour.
Reported by Rania Ghanem
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Date Posted: Sep 01, 2016